A California-based private-label organic baby food manufacturer and co-packer needed a working capital line to increase volume in order to add additional product lines to its offering. It previously secured a credit facility based on real estate and machinery from its bank, but a prospective accounts receivable lender that it was hoping to receive funding from backed out at the 11th hour. To address the working capital needs of the company after this development, Prestige Capital provided $2.5 million in funding.
“We received a call from the inventory lender who knew Prestige could keep the deal alive and close it fast,” Stuart Rosenthal, president of Prestige Capital, said. “When banks are not able to provide working capital on a business’ accounts receivable, companies like ours are able to fill the gap. This is what we did for this deal.”
